I understand this might a stupid question but for some reason it is a curious question to me. lol.
I think 1% is just an obtainable number for most cars. (Always some exceptions) It doesn’t always mean a good deal. It really depends on incentives and the vehicle etc. I mean if someone came to the group with a 1% deal on a Volvo S90 everyone would be losing their minds about how bad a deal it was.
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Thanks. Informative answer.
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ROFL 
2020202020202
While true, it’s not going to cover your infotainment screen, or the air conditioner that decides to stop working. Powertrain would be beneficial, no doubt, but not a full saving grace.
Most dealers makes their money from “the worst lease deal you’ve seen” thread and of course service department.
When I hear that, I fire back, “don’t make the deal then if it’s that big of a hardship, I’ll go elsewhere.” They shut up quick.
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On a macro level, this is easily googable. It’s covered in the financial media and dealer corporations like Autonation are publicly traded. The short answer is that their business models no longer rely on per-unit profits from the sale of a new car. It’s mostly service, parts, F&I products and used sales
You know me all too well 
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Most sales people make the minimum commission on any new car once it’s discounted any significant amount(cars in demand would be the exception). Used cars are a different story, no invoice on those to figure what the dealer paid. I heard Honda dealers make allot of money Accord Touring Hybrid’s…
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Surely for every Leasehackr-worthy deal, there are a hundred others that they’re making bank on in any given month so it all works out right?
I’m sure. I know well-educated (book smart) people tell me that leases are only offered at the advertised prices - you don’t negotiate them 
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Can help someone help me clarify, when benchmarking the 1% rule are we talking about zero drive off or zero down payment and with or w/o acq fee rolled in?
I see what you did there.
To your point though, that is what made BMW ex corporate demo leases such a screaming deal before all the incentive and residual changes. Dealers bought those cars at auction at largely used car market rates, which meant they could give strong discounts relative to MSRP on these leases and still make money.
The Volvo dealer started with a 500 payment a 46k car and ended up with 350 payment on 46k car.
So I imagine that they are looking to make 500-350 * 36 on every sale = 5k.
In addition, they are probably looking for service, extra insurance products etc etc to make their money.
If a dealer gives me the deal I want I don’t care if they make $200 or $2,000. The salesman’s job is to hold gross for the dealer, the buyer’s job is to get the best price they possibly can. The money the dealer makes all depends on who does their job better.
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It also depends on how much competition there is, small markets might only have one or two dealers of a particular brand, so less discounts.